Monetary Rewards and Employee Psychological Ownership Among Selected Hospitality Firms in FCT Abuja (Published)
The study investigates the impact of monetary rewards on psychological ownership in the hospitality industry within the Federal Capital Territory (FCT), Abuja. Specifically, it examines the influence of Monetary Fairness Perception (MFP), Incremental Pay Growth (IPG), and Monetary Reward Customization (MRC) on employees’ sense of ownership and commitment. Adopting Equity Theory as the theoretical framework, the study highlights the critical role of perceived fairness and reward structures in fostering psychological engagement. Using a cross-sectional survey design, data were collected from 137 participants across 15 hospitality firms and analyzed using multiple regression analysis in SPSS. The findings reveal that MFP and IPG significantly enhance psychological ownership, contributing 66.9% and 33.1% to its variance, respectively, while MRC demonstrates no statistically significant effect. These results underscore the importance of equitable and growth-oriented compensation systems in enhancing employee performance. The study concludes with recommendations for organizations to strengthen fairness in pay systems and institutionalize salary growth mechanisms, with limited emphasis on customization strategies in the Abuja context.
Keywords: incremental pay growth, monetary fairness perception, monetary reward customization, psychological ownership